The DOI matches its Crossref record; 2 of the 2 references it cites were found in a registry or an index.
Can a carbon emission trading scheme generate the Porter effect? Evidence from pilot areas in China
Abstract
"Kyoto Protocol" states that carbon market is one of three private emission-reduction instruments. Since 2013 China implemented carbon emission trading scheme (ETS) in seven provinces or cities. The purpose of this paper is to investigate whether the implementation of ETS can result in the Porter effect. Based on the Porter hypothesis theory, this study employs the difference-in-difference (DID) method and the improved DEA model to analyze whether ETS can bring economic dividend and environmental dividend. The empirical results specify that in the short term, ETS can significantly reduce carbon emissions in the pilot provinces, but fail to increase GDP. Therefore, ETS does not realize the Porter effect in the short term. Nevertheless, in terms of the empirical results we can find ETS plays a significant role in emission reduction. In the long term, ETS can stimulate sustainable economic dividend and environmental dividend, and achieve the Porter effect. From the test results, we can find ETS has good economic and emission reduction functions. ETS achieves the Porter effect in the long term but not in the short term. In order to achieve the Porter effect from ETS successfully, a sound carbon emission trading scheme must be established to ensure efficient carbon emission trading market.
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Citations
Cites
Coase, R. H. (1960) · The Journal of Law and Economics · doi:10.1086/466560 · Cited by 18,255
Toward a New Conception of the Environment-Competitiveness Relationship
Porter, M. E., & Linde, C. V. D. (1995) · Journal of Economic Perspectives · doi:10.1257/jep.9.4.97 · Cited by 13,365
Cited by
Does carbon emissions trading promote green technology innovation in China?
Zhang, W., Li, G., & Guo, F. (2022) · Applied Energy · doi:10.1016/j.apenergy.2022.119012 · Cited by 419
Review of recent progress of emission trading policy in China
Huang, W., Wang, Q., Li, H., Fan, H., Qian, Y., & Klemeš, J. J. (2022) · Journal of Cleaner Production · doi:10.1016/j.jclepro.2022.131480 · Cited by 238
Peng, H., Qi, S., & Cui, J. (2021) · Sustainable Production and Consumption · doi:10.1016/j.spc.2021.03.031 · Cited by 114
China’s Carbon Market Development and Carbon Market Connection: A Literature Review
Hua, Y., & Dong, F. (2019) · Energies · doi:10.3390/en12091663 · Cited by 65
Self-citationHou, J., Shi, C., Fan, G., & Xu, H. (2024) · Atmospheric Pollution Research · doi:10.1016/j.apr.2024.102045 · Cited by 43
Metadata
- Authors
- Dong, F., Dai, Y., Zhang, S., Zhang, X., & Long, R.
- Venue
- Science of The Total Environment
- Publisher
- Elsevier BV
- Published
- 2019-02
- Volume
- 653
- Pages
- 565-577
- ISSN
- 0048-9697 (ISSN-L)
- OpenAlex
- W2898626586
- Cited by
- 314
- References
- 2
- FWCI
- 28.96
- Type
- journal article
- Language
- en
- Open access
- closed
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- Dong, F., Dai, Y., Zhang, S., Zhang, X., & Long, R. (2019). Can a carbon emission trading scheme generate the Porter effect? Evidence from pilot areas in China. Science of The Total Environment. https://doi.org/10.1016/j.scitotenv.2018.10.395
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